UK companies struggling with coronavirus-related debts have been thrown a lifeline by the government which will not pursue them for unpaid taxes in order to avoid a wave of insolvencies this summer.
Restructuring experts have warned that many companies will struggle to stay afloatfrom next month when emergency Covid-19 business support measures begin to be wound down.
Business groups have raised concerns with ministers that this would be exacerbated if HM Revenue & Customswere to take an aggressive approach to collecting overdue taxes that are needed to help restore strained public finances.
The HMRC was last year granted preferential creditor status in insolvencies for outstanding VAT and income tax. This means it would be paid first …
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